Moser Baer India Limited announced financial results for the third quarter and nine months ending December 31, 2013.
For more information visit: www.moserbaer.com
Unedited press release follows:
Moser Baer announces audited results for the period ended December 31st, 2013
New Delhi, February 28, 2014 Moser Baer India Limited (MBIL) today released its audited financial results for the third quarter and financial period (9 months) ending December 31, 2013 approved by its Board of Directors, at its meeting in New Delhi.
Talking about the Company’s Storage Media business and strategy, Bhaskar Sharma, CEO, Storage Media, MBIL, said, Given the need to transition in the Optical Media industry, our focus continued to be on rationalization of operating costs in manufacturing and consolidation of operations to generate cost efficiencies. We anticipate future growth in the business driven by increase in sales of Solid State Media segment. However, our ability to ramp up the Solid State Media operations further to cater to the burgeoning demand in the segment is currently constrained on account of short term liquidity issues.
Trends in Storage Media Business
• Net Sales stood at INR 2,847.6 million during the quarter constrained by liquidity position.
• The ongoing reshuffle in the global Optical Media industry affected the demand and ASPs for players.
• Drop in ASPs and Production Volumes adversely impacted the margins and profitability.
• Key raw material costs remained soft.
• Given the liquidity constrained manufacturing environment, Moser Baer was able to reduce inventory levels to meet part of the demand.
K N Subramaniam, CEO, Moser Baer Solar Limited, said, The recent announcement of four Ultra Mega Power Projects (UMPP) of 500 MWs each in solar, excites us from the perspective of solar manufacturing and providing EPC services. This visibility of 2,000 MW along with recent bids for 750 MW under National Solar Mission has put the spot light on the solar sector. Considering our technology lineage in manufacturing along with our leadership position as the largest solar EPC player, these developments augur well for us and the industry.
Trends in the Solar Photovoltaic business
• Global PV installations continued to remain strong during 2H CY 2013 due to high demand from China, Japan & USA global PV industry is forecast to grow by over 35% to reach 49 GW in CY 2014 (Solarbuzz)
• In October 2013, MNRE announced Phase II Batch I of the National Solar Mission, to be implemented within 13 months from execution of PPAs. Under this, 375 MW out of the total 750MW target installations had a mandatory requirement of domestic content.
• Tremendous response on bid of 2X on DCR category and 4X on open category was received from developers amid an overall receipt of bids of 2,170MW.
• During the 9 month period Apr-Dec‘13, Moser Baer Solar (MBSL) exported over 30 MW of Modules to the highly competitive and quality conscious Japanese market.
Summing up the financial results, Yogesh Mathur, Group Chief Financial Officer MBIL said, During the quarter, the company continued to face short term liquidity challenges affecting the income generated. Continuous operating losses during the period of revival have led to erosion of our reserves. The company continues to be in discussions with lenders to address the issues and ramp up operations.
About Moser Baer India
Moser Baer India Limited headquartered in New Delhi, is a leading global tech-manufacturing company. Established in 1983, the company has successfully developed cutting edge technologies to become one of the world’s largest manufacturers of Optical Storage media like CDs and DVDs. The company also emerged as the first to market the next-generation of storage formats like Blu-Ray discs in India. Over the years the company has entered into exciting areas of content replication, home entertainment and is a market
(Rs. in lacs)
| Standalone | Consolidated | |||||||
| S.No | Particulars | 3 months
ended 31.12.2013 |
Previous 3
months ended 30.09.2013 |
Corresponding
3 months ended in the previous year 31.12.2012 |
For the
Period from 01.04.2013 to 31.12.2013 |
Previous Year
ended 31.03.2013 |
For the
Period from 01.04.2013 to 31.12.2013 |
Previous
Year ended 31.03.2013 |
| (Audited) | (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | (Audited) | ||
| 1 | a. Net Sales / Income from Operations | 28,476 | 28,961 | 30,989 | 91,602 | 143,693 | 110,319 | 162,608 |
| b. Other Operating Income | 1,589 | 751 | 694 | 2 ,867 | 2 ,938 | 4 ,111 | 5,976 | |
| Total Income from Operations (net) | 30,065 | 29,712 | 31,683 | 94,469 | 146,631 | 114,430 | 168,584 | |
| 2 | Expenses | |||||||
| a. Cost of materials consumed | 15,591 | 1 9,156 | 17,559 | 5 2,920 | 7 7,837 | 6 3,919 | 89,091 | |
| b. Purchase of Stock in trade | 19 | 1 01 | 64 | 1 37 | 9 16 | 5 ,730 | 5,043 | |
| c. Change in inventories of finished goods, work in progress and
stock in trade. |
2,806 | (3,864) | (723) | 29 | 1 ,010 | (1,586) | 3,917 | |
| d. Employees benefits expense | 3,702 | 4 ,076 | 4,463 | 1 1,363 | 1 8,016 | 1 5,787 | 25,576 | |
| e. Depreciation and amortisation expense | 4,834 | 5 ,006 | 7,014 | 1 5,427 | 2 9,023 | 3 8,296 | 40,868 | |
| f. Power and Fuel expense | 3,897 | 5 ,104 | 4,492 | 1 3,721 | 1 9,291 | 2 ,879 | 4,926 | |
| g. Other expenses | 5,594 | 4 ,701 | 6,867 | 1 5,349 | 2 9,817 | 3 2,716 | 49,149 | |
| Total expenses | 36,443 | 34,280 | 39,736 | 108,946 | 175,910 | 157,741 | 218,570 | |
| 3 | Profit / (Loss) from Operations before Other Income, finance costs
and exceptional Items (1-2) |
(6,378) | (4,568) | (8,053) | (14,477) | (29,279) | (43,311) | (49,986) |
| 4 | Other Income | 858 | 1 ,951 | 2,060 | 6 ,111 | 7 ,999 | 5 ,250 | 6,747 |
| 5 | Profit / (Loss) from ordinary activities before finance costs and
exceptional Items (3+4) |
(5,520) | (2,617) | (5,993) | (8,366) | (21,280) | (38,061) | (43,239) |
| 6 | Finance costs | 5,373 | 5 ,277 | 6,195 | 1 5,752 | 1 9,667 | 3 1,972 | 39,627 |
| 7 | Profit / (Loss) from ordinary activities after finance costs but beforeexceptional Items (5-6) |
(10,893) | (7,894) | (12,188) | (24,118) | (40,947) | (70,033) | (82,866) |
| 8 | Exceptional items | (10,748) | ( 5,281) | (1,931) | ( 20,547) | (4,969) | 4 77 | (8,755) |
| 9 | Profit / (Loss) from ordinary activities before tax (7+8) | (21,641) | (13,175) | (14,119) | (44,665) | (45,916) | (69,556) | (91,621) |
| 10 | Tax expense | – | – | – | – | – | 1 | 2 |
| 11 | Net Profit / (Loss) from ordinary activities after tax (9-10) | (21,641) | (13,175) | (14,119) | (44,665) | (45,916) | (69,557) | (91,623) |
| 12 | Extraordinary Items (net of tax expense) | – | – | – | – | – | ||
| 13 | Net Profit / (Loss) for the period (11-12) | (21,641) | (13,175) | (14,119) | (44,665) | (45,916) | (69,557) | (91,623) |
| 14 | Share of Profit / (Loss) of Associates | – | – | – | – | – | – | – |
| 15 | Minority Interest | – | – | – | – | – | – | – |
| 16 | Net Profit / (Loss) after taxes, minority interest and share of profit /(loss) of associates (13+14+15) |
(21,641) | (13,175) | (14,119) | (44,665) | (45,916) | (69,557) | (91,623) |
| 17 | Paid-up equity share capital
(Face value:Rs.10/- per share) |
19,831 | 1 8,831 | 16,831 | 19,831 | 16,831 | 16,831 | 16,831 |
| 18 | Reserves excluding Revaluation Reserves as per balance sheet of
previous accounting year |
18,071 |
(191,625) |
|||||
| 19 | Earnings Per Share: (not annualised) | |||||||
| i) Before Extraordinary items | ||||||||
| – Basic (Rs.) | (11.19) | (7.00) | (8.39) | ( 24.07) | ( 27.28) | ( 35.08) | (54.44) | |
| – Diluted (Rs.) | (11.19) | (7.00) | (8.39) | ( 24.07) | ( 27.28) | ( 35.08) | (54.44) | |
| ii) After Extraordinary items | ||||||||
| – Basic (Rs.) | (11.18) | (7.00) | (8.39) | ( 24.07) | ( 27.28) | ( 35.08) | (54.44) | |
| – Diluted (Rs.) | (11.18) | (7.00) | (8.39) | ( 24.07) | ( 27.28) | ( 35.08) | (54.44) | |
| Part – II Select information for the quarter and financial period ended December 31, 2013 |
||||||||
| A | Particulars of Shareholding | |||||||
| 1 | Public shareholding | |||||||
| – Number of shares | 140,885,963 | 140,885,963 | 140,885,963 | 140,885,963 | 140,885,963 | 140,885,963 | 140,885,963 | |
| – Percentage of shareholding | 71.04 | 74.82 | 83.71 | 71.04 | 83.71 | 71.04 | 83.71 | |
| 2 | Promoters and promoter group Shareholding |
|||||||
| a) Pledged/Encumbered | ||||||||
| – Number of shares | 27,420,141 | 2 7,420,141 | – | 2 7,420,141 | – | 27,420,141 | – | |
| – Percentage of shares (as a % of the total shareholding of
promoter and promoter group) |
47.75 | 57.82 | – | 47.75 | – | 47.75 | ||
| – Percentage of shares (as a% of the total share capital of the
Company) |
13.83 | 14.56 | – | 13.83 | – | 13.83 | – | |
| b) Non-encumbered | ||||||||
| – Number of shares | 30,000,000 | 20,000,000 | 27,420,141 | 30,000,000 | 27,420,141 | 30,000,000 | 27,420,141 | |
| – Percentage of shares (as a % of the total shareholding of
promoter and promoter group) |
52.25 | 42.18 | 100.00 | 52.25 | 100.00 | 52.25 | 100.00 | |
| – Percentage of shares (as a % of the total share capital of the
Company) |
15.13 | 10.62 | 16.29 | 15.13 | 16.29 | 15.13 | 16.29 | |
| Particulars | 3 months ended 30.09.2013 | |
| B | INVESTOR COMPLAINTS | |
| Pending at the beginning of the quarter | Nil | |
| Received during the quarter | 1 | |
| Disposed of during the quarter | 1 | |
| Remaining unresolved at the end of the quarter | Nil | |
Notes:
- The Company is primarily in the business of manufacture and sale of Storage Media. The other activities of the Company comprise replication of content, sale of consumer electronic products and operation and maintenance of sector specific Special Economic Zone for non-conventional energy. The segment revenues, results and assets of the other activities do not constitute reportable segments under AS-17 and accordingly no disclosure is required.
- (a)The Profit / (Loss) from ordinary activities before finance costs and exceptional Items for the quarter ended December 31, 2013 includes foreign currency exchange fluctuation loss (net) of Rs. 164 lacs.(Quarter ended September 30, 2013 includes gain (net) of Rs 917 lacs).(b) The current quarter exceptional items pertains to exchange gain of Rs. 695 lacs on account of foreign currency convertible bond’s liability (Quarter ended September 30, 2013 exchange loss of Rs 2,845 lacs), provision for permanent diminution in investment amounting to Rs. 1,115 lacs (Quarter ended September 30, 2013 Rs. Nil) and provision for amounts recoverable from downstream subsidiaries amounting to Rs. 10,328 lacs (Quarter ended September 30, 2013 amounting to Rs. 2,436 lacs).
- Standalone Statement of Assets and Liabilities as at December 31, 2013 are as under:
| S.No. | Particulars | Standalone (Audited) | Consolidated (Audited) | ||
| As at
31.12.2013 |
As at
31.03.2013 |
As at
31.12.2013 |
As at
31.03.2013 |
||
| A | EQUITY AND LIABILITIES | ||||
| 1 | Shareholder’s funds | ||||
| (a) Share Capital | 19,831 | 16,831 | 19,831 | 16,831 | |
| (b) Preference share capital of Subsidiaries | – | – | 82,553 | 82,553 | |
| (b) Reserves and Surplus | (34,364) | 18,071 | (268,950) | (191,625) | |
| Sub-total – Shareholders funds | (14,533) | 34,902 | (166,566) | (92,241) | |
| 2 | Share application money pending allotment | 630 | 2,000 | 825 | 2,000 |
| 3 | Non-current liabilities | ||||
| (a) Long Term borrowings |
97,203 | 108,826 | 242,322 | 209,030 | |
| (b) Other long term liabilities |
18,088 | 18,021 | 1,021 | 882 | |
| (c) Long-term provisions | 2,336 | 2,263 | 5,032 | 5,292 | |
| Sub-total. Non-current liabilities | 117,627 | 129,110 | 248,375 | 215,204 | |
| 4 | Current liabilities | ||||
| (a) Short-term borrowings | 68,104 | 66,703 | 88,528 | 94,415 | |
| (b) Trade payables | 30,841 | 31,098 | 21,056 | 25,931 | |
| (c) Other current liabilities |
107,980 | 88,105 | 136,115 | 138,124 | |
| (d) Short-term provisions | 16,229 | 10,740 | 16,340 | 10,897 | |
| Sub-total – Current liabilities | 223,154 | 196,646 | 262,039 | 269,367 | |
| TOTAL – EQUITY AND LIABILITIES | 326,878 | 362,658 | 344,673 | 394,330 | |
| B | ASSETS | ||||
| 1 | Non-current assets | ||||
| (a) Fixed assets | 81,694 | 97,049 | 200,181 | 235,208 | |
| (b) Non-current investments | 67,289 | 68,404 | 81 | 81 | |
| (c) Long-term loans and advances |
11,119 | 15,470 | 5,818 | 21,371 | |
| (d) Other non-current assets |
40,333 | 27,932 | 2,300 | 1,049 | |
| (e) Foreign currency monetary item translation difference account | |||||
| Sub-total. Non-current assets | 200,435 | 208,855 | 208,380 | 257,709 | |
| 2 | Current assets | ||||
| (a) Inventories | 50,121 | 52,774 | 60,996 | 63,390 | |
| (b) Trade receivables | 49,648 | 61,759 | 25,041 | 25,412 | |
| (c) Cash and cash equivalents |
7,155 | 13,090 | 10,967 | 17,673 | |
| (d) Short-term loans and advances |
6,305 | 6,013 | 26,833 | 14,246 | |
| (e) Other Current assets | 13,214 | 20,167 | 12,456 | 15,900 | |
| Sub-total – Current assets | 126,443 | 153,803 | 136,293 | 136,621 | |
| TOTAL – ASSETS* |
326,878 | 362,658 | 344,673 | 394,330 | |
(* Under Section 450 of the Companies Act, 1956, the Hon’ble High Court of Delhi has taken symbolic charge of the Company and the company has been permitted to carry on its operations.)
- The Segment-wise revenues, results and capital employed of the Consolidated Financial Statements are given below:
| Particulars | For the
period ended 31.12.2013 |
For the
Previous year ended 31.03.2013 |
| (Audited) | (Audited) | |
| Segment Revenue (Net Sale/Income ) | ||
| a. Storage Media Products | 98,246 | 1 54,064 |
| b. Solar Products | 26,164 | 2 7,153 |
| c. Others | 10,202 | 2 2,581 |
| Total | 134,612 | 203,798 |
| Less : Inter Segment Revenue | 20,162 | 35,214 |
| Net Sales /Income From Operations | 114,450 | 168,584 |
| Segment Results (Profit / (Loss) before tax and interest) |
||
| a. Storage Media Products | (16,971) | (27,318) |
| b. Solar Products | (20,162) | (18,173) |
| c. Others | (1,744) | 401 |
| Total | (38,877) | (45,090) |
| Less :(i) Interest expenses (net of interest/ dividend income) |
31,287 | 3 8,705 |
| (ii) Other Un-allocable corporate expenditure/ (income) (net) |
(607) | 7 ,828 |
| Total (Loss) Before Tax | (69,557) | (91,623) |
| Capital Employed (Segment assets – Segment Liabilities) |
||
| a. Storage Media Products | 139,033 | 1 61,036 |
| b. Solar Products | 137,811 | 1 55,344 |
| c. Others | 16,846 | 9 0,215 |
| Total | 293,690 | 406,595 |
| Unallocated Assets/ (Liabilities) | (459,431) | (496,836) |
| Total | (165,741) | (90,241) |
- a)The Company performed a detailed assessment, including using valuations performed by an independent valuer, to determine whether its investments in and advances or other receivables as of December 31, 2013, from certain subsidiaries are recoverable. Material estimates and judgments used in such assessment were inter-alia, successful implementation of new technologies, new product initiatives, external market conditions, regulatory benefits and conclusion of debt restructuring in the terms as proposed by these subsidiaries. These estimates and judgments continue to be appropriate and accordingly, the management has provided for impairment of Rs. 5,115 lacs in the results for the period ended December 31, 2013, to the carrying values of underlying investments in and advances or other receivables from these subsidiaries aggregating to Rs 109,959 lacs.b) Pursuant to the impairment assessment of fixed assets, the Company has made an impairment provision of Rs. 11,379 lacs in respect of the carrying value of fixed assets of one of its subsidiaries, which is included under the head ‘depreciation and amortisation expense’ in the audited consolidated result of the Company for the nine months ended December 31, 2013.
- The outstanding foreign currency convertible bonds (FCCBs) aggregating to principal value of USD 885 lacs (equivalent to Rs 54,720 lacs) matured for redemption on June 21, 2012, which have since been claimed by the trustee of the bondholders. The Company has received approval from RBI for extension of redemption date of bonds and is in discussions with the bondholders through the Trustee to re-structure the terms of these bonds. Pending acceptance by the bondholders and approval from the concerned regulatory authorities of the terms proposed by the Company, the financial obligations of the Company, other than premium on redemption, are presently not reasonably determinable, and hence have not been provided for. The petition under section 434 of the Companies Act, 1956, filed by the trustee on behalf of certain bondholders with the Hon’ble High Court of Delhi which has since been admitted. Pending the outcome of aforementioned discussions with the bondholders and the related litigation, these results have been prepared on a going concern basis.
- Subject to necessary approvals, the Board of directors of the Company in their meeting held on Feb 28, 2014 has allotted 1,00,00,000 equity shares of Rs. 10/- each for cash at par on preferential basis to Mr. Deepak Puri, Promoter. The allotment is in terms of approval of shareholders accorded vide Special Resolution passed on May 20, 2013, by way of Postal Ballot and under the Corporate Debt Restructuring Scheme approved by CDR Empowered Group. The funds raised through preferential allotment have been utilised for working capital/operations of the Company.
- The Company changed its financial year from March 31 to December 31, hence current financial year consist of 9 months period from April 2013 to December 2013. Accordingly current financial year figures are not comparable with those of the previous year.
- Figures of the previous periods have been regrouped and rearranged wherever necessary, to make them comparable.
- The above results were reviewed by the Audit Committee and approved by the Board of Directors at its meeting held on Feb 28, 2014. The information presented above is extracted from the respective audited financial statements as stated.
- The figures in respect of 3 months ended December 31, 2013 are the balancing figures between audited figures in respect of the financial year (9 months) and the published year to date figures up to the second quarter of the current financial year.